jerry has a small business selling tea and coffee maker to other businesses. On 31^st December 2019 , the following trial balance.

Account Name	Debit $	Credit $
Sales Revenue		649,800
Sales returns	11,520
Opening inventory	42,300
Purchases	325,296
Purchase returns		11,520
Freehold property	151,200
Equipment at cost	72,000
Accumulated depreciation on equipment		10,800
Motor vehicle	77,400
Accumulated depreciation on motor vehicle		12,960
Salaries and Wages	21,600
Insurance	5,760
Motor expenses	9,000
Advertising expenses	5,400
Loan interest	7,200
Receivables	73,800
Allowance for receivables		5,400
Payables		54,900
Cash at bank	287,604
Bank loan		61,200
Capital		283,500
Total	1,090,080	1,090,080

The following information is relevant.

1. Closing inventory was valued at $62,400.
2. Equipment is depreciated by 25% on reducing balance basis.
3. Motor vehicles are depreciated by 20% on reducing balance basis.
4. Accrued wages at the end of 2019 amount to $10,800.
5. On 1 August 2019 Johns paid $4,800 for insurance which is valid until 31 July 2020.
6. Irrecoverable receivables of $4,800 need to be written off.

Required:

1. Prepare jerry income statement for the year ending 31^st December 2019.

Prepare jerry balance sheet as at December 2019.